“Exceptional” Disney To Issue More Debt

Walt Disney Co plans to sell $750 million worth of both five- and 10-year notes and $350 million of 30-year bonds, issuing its first 30-year debt in almost a decade. Disney is selling bonds for the second time this year despite Standard & Poor’s saying the company already has “exceptional liquidity.” But the Fed this week signaled it plans to keep interest rates at a record low through the middle of 2013, meaning companies are taking advantage of the low borrowing costs and investors being more likely to seek longer-term bonds and their higher yields. A source told Bloomberg that the proceeds will be used for general corporate purposes but that terms for the deal have not been set.